Skip to ContentSkip to Footer

Understanding Kidnap & Ransom Insurance

Kidnap-Ransom.jpg

Kidnapping for ransom is a lucrative business for perpetrators and more prevalent than you may think. The Insurance Information Institute (III) reports that kidnapping for ransom is on the increase.

Prime targets are wealthy businesspeople and their families, professionals traveling abroad, journalists, and aid workers. Most kidnappings of Americans for ransom or extortion occur in Mexico, Columbia, Central or South American countries, parts of Africa, or the Middle East. As a result, kidnap and ransom insurance is becoming an increasingly popular product.

Who Needs Kidnap & Ransom Insurance?

Kidnap and ransom insurance is available as part of a comprehensive business insurance package, as a stand-alone policy for individuals, and as part of homeowners insurance policies issued by a few insurance companies. Corporate kidnap and ransom insurance is designed to help companies and organizations minimize the financial impact of kidnapping, extortion, and illegal detention. Organizations that may need this type of coverage include:

  • Public companies
  • Private companies
  • Financial institutions
  • Nonprofit organizations
  • Missionary or human rights groups
  • Schools and universities, particularly those with daycare facilities and study abroad programs
  • Healthcare facilities
  • Entertainment companies

Individuals traveling or doing business in an area of the world that is known as a hotspot for civil unrest, economic instability, or clashes between law enforcement or the military and citizens should consider kidnap and ransom insurance. This coverage is also recommended for individuals with a high profile or a high net worth.

Reasons To Consider Corporate Kidnap & Ransom Insurance

  • Thousands of kidnappings occur worldwide every year.
  • Expenses associated with kidnapping and extortion or illegal detention can significantly impact your organization.
  • Even companies that do not have a global footprint and nonprofit organizations are at risk.
  • Purchasing this coverage helps mitigate risk to your company’s most valuable asset – your employees.
  • Preparation and preventative measures are part of the cost of doing business, and they provide peace of mind for your employees while also protecting your company’s financial stability.

What Types Of Coverage Does Kidnap & Ransom Insurance Provide?

Kidnap and ransom policies cover some of the expenses associated with dealing with kidnappers and their demands. Corporate policies typically cover hostage negotiation fees, lost wages, and the amount of the ransom. Individual kidnap and ransom policies help cover the cost of dealing with a kidnapping, but will not reimburse you for ransom payments. They generally cover the cost of emergency evacuation from remote or dangerous areas.

This type of policy will help pay for trained hostage negotiators. These professionals know how to secure proof of life, when to call the police and when not to (where corruption exists), how to negotiate with kidnappers and terrorists, and how to ensure the return of the captive goes smoothly.

At least one insurance company offers kidnap and ransom insurance that covers:

  • Injury, death, and funeral expenses resulting from a kidnapping incident
  • Public relations services for high-profile kidnap cases
  • Psychiatric treatment for victims
  • Medical and legal advice
  • Reward payments
  • Unlimited expenses for a crisis response team certified by Homeland Security

Whether you are a business owner or an individual planning to travel abroad, our friendly agent can help you find the best quote on the right kidnap and ransom insurance to suit your needs.

Get A Quote

* indicates required fields

This field is for validation purposes and should be left unchanged.

Customer Reviews
5/5

Sandy always provides the highest level of customer service and goes above and...

AG
angie g
5/5

They are awesome. Been with these guys for 42 years. Wouldn't go anywhere...

G
goforthk1
5/5

My experience with clement and sandy was amazing. So helpful and would highly...

MC
Mike C
5/5

Awesome i got a quote and they provided everything

B
BANOM
5/5

I have been with Clement Insurance for 30 years. They truly care about all of...

MG
Mary G